Economy & business

Poh Li San questioned the Minister for Sustainability and the Environment regarding the anticipated impacts of the planned increase in carbon tax on emissions in Singapore, household utility costs, and whether the 2028 increase might be postponed or reduced due to rising business costs. Grace Fu Hai Yien referred to a previous written reply from September 2025 that addressed similar questions about the carbon tax and its implications.

Rachel Ong asked if grants could be provided to assist lower-income PMD owners with battery replacement costs, focusing on purchases from LTA-compliant suppliers to enhance safety. Masagos Zulkifli explained that PMDs are general transport devices, unlike personal mobility aids, which are for individuals with mobility challenges. He mentioned that eligible seniors and persons with disabilities can apply for subsidies through specific funds. Additionally, lower-income PMD owners on ComCare can receive cash assistance to help cover battery replacement costs.

Eileen Chong Pei Shan questioned the rationale behind the GRaduate Industry Traineeship (GRIT) Programme's focus on specific sectors like financial services, ICT, manufacturing, and wholesale trade. She also asked about the metrics used to assess the quality of placements beyond traineeship completion, in order to measure conversion rates to full-time employment. Tan See Leng directed her to a previous parliamentary reply from September 2025 that addressed these queries.

Assoc Prof Jamus Lim questioned the restriction that tax-deductible CPF top-ups for members on CPF LIFE must go towards that scheme instead of allowing choices for Retirement Sum Scheme payouts, even for those who have met the Full Retirement Sum. Minister Tan See Leng explained that members can only be on either CPF LIFE or the Retirement Sum Scheme at a time, and tax-deductible top-ups are allocated accordingly. He noted that members with at least $60,000 in their Retirement Account at retirement are automatically included in CPF LIFE, ensuring lifelong monthly payouts. In contrast, Retirement Sum Scheme payouts are limited to up to 20 years or until the savings are exhausted.

Yip Hon Weng questioned the policy rationale behind allowing permanent residents to withdraw their CPF savings in full upon leaving Singapore while citizens can only do so after age 55. Tan See Leng responded that the CPF system is crucial for supporting retirement and healthcare needs for both citizens and PRs. He explained that those who renounce their status can withdraw their CPF savings entirely, with the same withdrawal rules applied to both groups. To protect retirement adequacy, both citizens and PRs must set aside a full retirement sum by age 55.

Jamus Lim raised questions about whether statistics are collected on the time taken for debt recovery by licensed debt collection companies and the disbursement to clients. K Shanmugam responded that the Police do not track these statistics and focus on regulating problematic conduct in the debt collection industry rather than the commercial arrangements between companies and clients. There is no public information available on the performance of debt collection companies regarding recovery times.

Victor Lye asked about the marketing and development plans for the Johor-Singapore Special Economic Zone (JS-SEZ) in relation to attracting foreign direct investment. Gan Kim Yong stated that the JS-SEZ leverages Singapore's connectivity and Johor's resources, creating an appealing option for investors. A JS-SEZ Project Office was established in April 2025 to support Singaporean companies and promote investments, in collaboration with Malaysian counterparts. Additionally, there is interest from private developers to create new industrial parks within the JS-SEZ, which may align with Singapore's industry transformation goals.

Mariam Jaafar requested information on the value of unspent CDC vouchers from the 2024 tranche, specifically broken down by supermarkets and hawkers/heartland shops, and asked for more flexibility in future voucher categories. Edwin Tong noted that the CDC Vouchers Scheme aims to help households with living costs while supporting hawkers and heartland merchants. Since its launch, approximately $2.3 billion has been spent on CDC vouchers, with $1.26 billion used at hawkers and heartland merchants and $1.04 billion at supermarkets. The separation of categories is intended to balance household support and assistance for local vendors.

Assoc Prof Jamus Lim questioned the Prime Minister about assessments on G20 nations increasing their gold reserves and its implications for Singapore's reserve management strategy. Indranee Rajah responded that global demand for gold is driven by its status as a safe-haven asset amid economic and geopolitical uncertainty. She emphasized that Singapore's gold holdings are aligned with the long-term objective of maintaining a resilient and well-diversified Reserves portfolio.

Fadli Fawzi asked whether the decline in GIC's 20-year annualised real returns and increased volatility would affect the interest rates of Special Singapore Government Securities (SSGS) issued to the CPF Board. Indranee Rajah clarified that SSGS interest rates are determined by CPF rates and are independent of GIC's performance. The CPF Board invests savings in risk-free SSGS, and the Government guarantees these savings and interest payments regardless of GIC's returns, supported by a prudent fiscal policy.

Sharael Taha asked for an update on the aviation and aerospace sector's attractiveness for Singaporeans, considering upcoming growth, including developments at Changi Airport Terminal 5. Jeffrey Siow highlighted that Singapore is investing in Terminal 5 and related areas to capitalize on the anticipated growth in international travel, with the sectors collectively employing over 80,000 workers. Efforts to enhance the sectors include job redesign and technology adoption, a pilot project aimed at improving job appeal, and partnerships for AI capability building. Training and upskilling initiatives, such as the Career Conversion Programme, have reskilled over 5,000 individuals for growth job roles. Finally, there are strengthened outreach and recruitment efforts targeting youths through partnerships with educational institutions and sector-wide events to showcase opportunities in aviation and aerospace.

Vikram Nair raised concerns about managing commercial rentals amid rising costs and high turnover in the food and beverage sector. Gan Kim Yong responded that while overall rent increases for private retail spaces have been below inflation, variations exist due to specific locational factors. The government is aiding businesses with a 50% Corporate Income Tax rebate for 2024 and 2025, alongside initiatives by Enterprise Singapore to enhance productivity and innovation in the F&B sector. Programs like FoodX help F&B businesses streamline operations, and support is also available for retailers adopting experiential and productivity-enhancing concepts. Eligible hawkers and F&B businesses participating in the CDC Vouchers Scheme can expect increased patronage through community vouchers.

Liang Eng Hwa questioned the effectiveness of existing measures to prevent scams and inquired about further actions needed given the significant financial losses to scams. K Shanmugam referred to a report detailing recent and future anti-scam initiatives, noting a 26% decrease in scam cases and a 13% decrease in losses in the first half of 2025 compared to 2024. He emphasized that scammers adapt to countermeasures, highlighting the importance of public vigilance in preventing scams, particularly since 79% of scams involved self-effected transfers by victims. Singaporeans are encouraged to verify suspicious requests for money by calling 1799 before responding.

Shawn Huang emphasized the importance of intelligent robotics and AI in transforming industries and enhancing the economy, highlighting the urgency for Singapore to invest in these technologies to remain competitive on a global scale. He outlined the evolution of industrial revolutions and discussed the anticipated economic impact of intelligent robotics, projecting significant contributions to global GDP by 2030. Desmond Choo supported this vision by reiterating Singapore's unique tripartism model, which fosters collaboration among the government, unions, and employers, ensuring that workers benefit amidst technological changes. Jessica Tan called for a refreshed social compact that addresses inclusivity and shared responsibility in a diverse and rapidly changing society, while Eric Chua raised awareness about the rising issue of addiction, particularly focused on compulsive sexual behaviors, advocating for better preventive measures and support systems.

Mariam Jaafar and other Members of Parliament raised concerns regarding rental increases for HDB commercial units and the affordability of rents, specifically for medical facilities and food services. The Senior Minister of State for National Development, Sun Xueling, explained that HDB is committed to maintaining a stable rent environment, with most shops seeing minimal increases over the past five years. HDB has implemented a price quality method for tendering medical facilities to improve service quality and is exploring ways to gather more data on sublet rents to address concerns about affordability. Sun also emphasized the need to consider market forces and the need for a balance between private ownership and public affordability, particularly for essential services.

Mariam Jaafar raised concerns about the regulatory framework for Integrated Shield Plans (IPs) to ensure alignment with healthcare priorities and patient protection. Vikram Nair inquired about the government's approach to address rising private healthcare costs, escalating insurance premiums, and challenges with pre-authorization processes. The Minister of State for Health, Rahayu Mahzam, outlined that current healthcare insurance issues stem from complex interactions among insurers, hospitals, and patients, and emphasized that enhancing regulation alone may exacerbate existing problems. Efforts are underway to create benchmarks, improve transparency, and educate consumers on their insurance options to promote fairer practices and insurer accountability. Solutions to rising healthcare costs involve a multi-faceted approach where all stakeholders must cooperate rather than relying solely on regulatory interventions.

Zhulkarnain Abdul Rahim suggested that the CDC Vouchers scheme be extended to include more merchants and retailers beyond those in HDB housing estates and hawker centres, particularly in nearby areas. Edwin Tong Chun Fai explained that the scheme, launched during the COVID-19 pandemic, aims to support Singaporean households and hawkers in HDB areas. He noted that while the focus is on heartland merchants, some small businesses outside of these areas have been included on a case-by-case basis. To date, over 23,000 hawkers and heartland merchants have joined the scheme, with ongoing efforts to onboard more eligible merchants.

He Ting Ru questioned the Minister for National Development about the current total stock of vacant office, retail, and industrial space exceeding one year. Chee Hong Tat responded that as of June 2025, there are 220,000 square metres of retail, 440,000 square metres of office, and 2.7 million square metres of industrial space that have remained vacant. These figures represent 3.4%, 5.4%, and 5.0% of total available space in their respective sectors and are similar to pre-pandemic levels.

Gerald Giam Yean Song asked about the principles guiding the cost distribution for providing affordable, nutritious meals to low-income patrons and whether the responsibility disproportionately affects hawkers. Grace Fu Hai Yien responded that this question would be addressed in the next parliamentary session on 24 September 2025, along with other related questions, for a comprehensive response.